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Job creation or labor absorption? An analysis of private sector job growth in Egypt

Author

Listed:
  • Ragui Assaad
  • Caroline Krafft
  • Shaimaa Yassin

Abstract

Creating jobs, especially good jobs, is one of the greatest challenges facing Egypt. This paper investigates the nature of job growth in Egypt, including the firm, industry, and worker characteristics that are related to job growth. Using data from Egypt’s establishment censuses linked to various firm and labor surveys, we examine job growth in private sector establishments over 1996–2017. We find that job growth has primarily followed a labor absorption paradigm, with job growth unrelated to productivity and highest for firms with more informal employment.

Suggested Citation

  • Ragui Assaad & Caroline Krafft & Shaimaa Yassin, 2020. "Job creation or labor absorption? An analysis of private sector job growth in Egypt," Middle East Development Journal, Taylor & Francis Journals, vol. 12(2), pages 177-207, July.
    • Handle: RePEc:taf:rmdjxx:v:12:y:2020:i:2:p:177-207
    DOI: 10.1080/17938120.2020.1753978

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    Cited by:

    1. Caroline Krafft & Reham Rizk, 2018. "The Promise and Peril of Youth Entrepreneurship in MENA," Working Papers 1257, Economic Research Forum, revised 19 Nov 2018.
    2. Sattar, Aimen & Brown, Calum & Rounsevell, Mark & Alexander, Peter, 2024. "Typology analysis of Egyptian agricultural households reveals increasing income diversification and abandonment of agricultural activities," Agricultural Systems, Elsevier, vol. 218(C).
    3. Tansel, Aysit & Keskin, Halil Ibrahim & Ozdemir, Zeynel Abidin, 2020. "Public-private sector wage gap by gender in Egypt: Evidence from quantile regression on panel data, 1998–2018," World Development, Elsevier, vol. 135(C).
    4. Stefano Caria & Bruno Crepon & Hala ElBehairy & Noha Fadlalmawla & Caroline Krafft & Abdelrahman Nagy & Lili Mottaghi & Nahla Zeitoun & Souraya El Assiouty, 2022. "Child Care Subsidies, Employment Services and Women's Labor Market Outcomes in Egypt," World Bank Publications - Reports 37825, The World Bank Group.
    5. Adrien Frontenaud, 2023. "The Quality of Employment in MENA Countries: The Place and Dynamics of the Middle Class," Post-Print halshs-04203129, HAL.
    6. Doaa Salman & Abeer Rashdan & Layla Amr, 2020. "Egyptian Female Entrepreneurship As Driving Factors In The Digital Era, A Hope Or A Challenge," Economics & Law, Faculty of Economics, SOUTH-WEST UNIVERSITY "NEOFIT RILSKI", BLAGOEVGRAD, vol. 2(2), pages 33-49.
    7. El-Haddad, Amirah, 2020. "Redefining the social contract in the wake of the Arab Spring: The experiences of Egypt, Morocco and Tunisia," World Development, Elsevier, vol. 127(C).

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